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US headquartered crypto exchange Coinbase has crashed again but perhaps at the worst possible time for Bitcoin traders.
As Bitcoin reached its all-time high on Tuesday and consequently nosedived, Coinbase announced, "We are aware that some users may be experiencing errors when transacting. Our team is investigating this issue and will provide an update shortly. Your assets are safe."
We are aware that some users may be experiencing errors when transacting. Our team is investigating this issue and will provide an update shortly. Your assets are safe.
— Coinbase Support (@CoinbaseSupport) March 5, 2024
Bitcoin hit a historic high of $69,200 before falling to as low as $59,700 just six hours later. At the time of writing, Bitcoin is trading at just under $63,000.
Coinbase users took to Reddit to vent their frustration, and they did not hold back, to say the least.
"Scum. They switch off the buy when things crash, on purpose in order to stop buying at cheaper prices and still allow the fall to crush the short positions. This is criminal," wrote one triggered Coinbase user.
Blockhead
"This proves that Coinbase is a scam unserious company. Had USDT ready there to buy the next dip. Now they don't allow me to buy. Last time I trust this scammer company," said another.
"Coinbase screws people every time big price action happens," another disgruntled customer stated.
"I can't cash out I might I just watch my available balance go up and down up and down LOL what the f*** worst company ever," commented an angry user.
Speaking to Decrypt, a Coinbase spokesperson said, “Coinbase is on a mission to increase economic freedom for more than 1 billion people. We are encouraged by the excitement in the market and are continuing to double down the capacity and resilience of our systems."
Blockhead
For long-term Coinbase users, this crash is nothing new. As recently as 29 February 2024, Coinbase's app experienced a bug that erroneously showed users' balances as zero.
We are aware that some users may see a zero balance across their Coinbase accounts & may experience errors in buying or selling. Our team is investigating this & will provide an update shortly. Your assets are safe.
— Coinbase Support (@CoinbaseSupport) February 28, 2024
You can track this incident at https://t.co/a3pl4WiDhZ
The account crash inspired Kraken to poke fun at their competitor, tweeting, "JUST IN: Not down."
JUST IN: Not down
— Kraken Exchange (@krakenfx) February 28, 2024
Coinbase also crashed in 2017 when Bitcoin hit its then-all-time-high of $19,345, in April 2020, and January 2021.
Surprisingly, Coinbase's stock price was only hit with a 5.4% dip amid the panic. For context, MicroStrategy, which did not suffer an outage but is instead incredibly Bitcoin-heavy, saw its share price crash over 20%.
